<meta http-equiv="refresh" content="0; URL=noscript.html"> METU | Course Syllabus

Course Objectives

This course aims to give the necessary background and tools to students for understanding the workings of the financial investment markets.  This includes understanding the capital allocation role of financial markets, facilitating flow of funds from savers to economic investors of the economy, pricing of financial assets in these markets and formation of optimal portfolios by financial investors that consists of these financial assets. To do so, the course covers basic concepts of financial investment, management of investment portfolios and pricing of assets in these portfolios. The concepts and definitions related to the different investment types, the markets in which the securities (debt, equity and derivatives) trade and to investment companies will be introduced. The risk/return trade-off and the concept of efficient markets will be explained. Overall financial investment process and the key elements involved in this process such as asset allocation and security selection will be discussed. The course will also cover theories of portfolio management and theories of asset pricing.